connecticut, president obama bows to do something about guns. taking a spin through time, a rare discovery reveals the first christmas recordings that are sure to put you in a festive mood. welcome to our viewers on public television in america and around the globe. banks are in the business of making money, but today u.b.s. was forced to pay a massive amounts for actions federal regulators called shocking. the penalty was levied for trying to manipulate a key interest rates that affect our rowers around the world. the u.s. is hardly alone -- u.b.s. is hardly alone in having to pay. >> caught trying to manipulate important interest rates and

punished with 940 million pounds of fines and confiscation of ill-gotten gains. >> this is some of the most shocking behavior we have seen to date. this was prevalent across the firm for five years when people were seeking to manipulate an internationally used benchmark used for millions and trillions of pounds of contracts in order to benefit their own trading position. >> u.b.s. traders colluded with other firms in market rigging. one u.b.s. a banker said to a broker, let me do one humongous deal. i will pay $100,000, whatever you want. i am a man of my word. the bank has been punished by switzerland, the u.k., and the u.s. >> make no mistake. for u.b.s. traders, the manipulation of libor is about getting rich. as one broker told a derivatives trader, you are getting bloody

good at this game. think of me when you are on your yacht in monaco, won't you? >> it is a 1 billion pound fine too much or too little or about right? >> it is not about the fine. what we have got to see is criminal sanctions. the money is tax deductible. certainly the government is amending to make sure if the money goes to good causes and not back to the regulator, but it has to be about sanctions. >> it was so systematic it is now impossible to have confidence in any of the main libor prices over the next few years. libor rates underpinned trillions of dollars, and as they start to sue, they will be looking for a huge damages that could turn out to be a multiple, even of the huge bank finance.

more than a dozen big banks are being investigated for rate rating. earlier this year barclays was hit with one for 90 million pounds in fines and penalties. -- 190 million pounds in fines and penalties. vice we had a rotten culture. no question about that. the real issue is are they so dreadful the people in charge of the banks will now get a grip? >> after this, rbs was also implicated in the scandal, and in the new year, due to be fined more than its rival, barkley's. >> for more on today's finance, i spoke to felix from reuters, who joined us from new york. a is by words and -- by far the worst offender, but it is not

the only one. can we expect more revelations? >> we can expect more. a dozen or more involved in one way or another, and u.b.s. was working in concert with a number of brokers, so this is a huge scandal, and so far we have only had the dell's from two banks -- barkley's and u.b.s. and -- had details from two banks -- barclays and u.b.s.. what we thought was a scandalous tale, u.b.s. is making it look like nothing, so who knows what might be coming next? >> we hear a lot of jargon, but what does this mean for us? what impact does it have on our ability to get mortgages and car loans and things like that? >> basically none. the manipulations were small. traders would make for a rate go up or down a bit, just a few hundredths of a percentage point. that could make millions of dollars in trading.

, so what they did is they made your mortgage a little bit more cheaper or a little more expensive. it probably even out. in the end there was a systemic attempt to lower interest rates, so if you were a borrower you probably got the best deal. the people who got the worst deal were the people who were investing money. >> this is about trust. it is about corruption at a time when banks were supposed to be cleaning up their act, and it seems like we cannot trust any of them. where does the industry go from here? >> they are clearly incapable of regulating itself. we have tried this many times. every time of bank comes out and says it has risk control, you get another scandal like this where people are committing outright fraud, where you are having a rest stop or investments blow up to the tune of $9 billion. -- you are having arrests or

investments blow up to the tune of $9 billion. the only solution is to have more regulations or having bankers making sure they are doing it right. >> is that going to happen? it is almost as if they are too big to touch. >> they are too big to regulate. they are too big to manage. these banks are so complex a bunch of civil servants trying to regulate these mobile trillion dollar institutions are completely unmatched. they have no hope. >> thank you for joining us. in pakistan people say government has murdered two more health workers involved in the national polio vaccination campaign. it is a shocking trend that has prompted international health agencies to suspend vaccination efforts, and while the taliban has claimed in the past such

programs are a western ploy, they are denying any involvement in the current attacks. >> these health workers were the latest targets in three separate attacks in northwest pakistan. at least two people were killed and others wounded. the shootings followed similar incidents in pakistan's largest city of karachi, where four female health workers were shot dead. across the country, authorities have suspended the polio eradication drive for the time being. many who want their children vaccinated are disappointed. >> i want to get my son back, but there is no one here. >> we headed to a carracci neighborhood, where a health worker was shot dead on tuesday. this is a slum area often

considered too dangerous for the police and paramilitary troops to penetrate. two workers were killed in the houses behind me. it is too dangerous to go there, but we have come to that area hoping to speak to the victims' families. the anti polio campaigners fromlive the short distance where they were killed. the family was devastated. gunmen shot at her family while they were visiting. she says may face resistance in their efforts. >> the women want their children to be vaccinated, but some are warned against it by their man, who says the program is a conspiracy to spoil future generations. the women say this is the number area.

>> suspicion has fallen on taliban militants who have previously denounced the campaign as a western conspiracy. though authorities have arrested dozens of suspects, they promised to step up security, but those are assurances the workers have heard before. >> my appeal is they let the polio campaign go on. this polio campaign is very important to our children. if we cannot let it go on, we are going to make our next generation crippled. >> pakistani authorities say they will not allow violence to disrupt the fight against polio, but many believe the cannot protect tens of thousands of health workers across the country. >> an official inquiry into

september's attack on the u.s. consulate in the libyan city of and gawky said security at the building was grossly inadequate. -- libyan city of benghazi said security at the building was grossly inadequate. they say no individual willfully ignored their duty. the daughter of a former military ruler has been affected as south. 's president. president.rea's park will be the first seamount. a team was captured in syria last thursday. the first four members escaped unharmed on monday. a u.s. soldier accused of killing 16 afghans and injuring

six others in march could face the death penalty if found guilty of murder. sgt bales faces 69 counts of murder and six counts of attempted murder as well as using drugs and alcohol and while deployed. the funerals continued in newto wn connecticut for the 26 victims killed in one of the worst mass shootings. there have been calls for greater gun control. today president obama announced his vice-president joe biden will lead a special task force looking into this. he released a special challenge. >> the fact this is complex and can no longer be an excuse for doing nothing. the fact we cannot prevent every act of violence does not mean we cannot steadily reduced violence and prevent the worst

violence. >> the reaction to this tragedy will be a defining moment in the president's second term, but it is his record that won him the person of the year award. i spoke to the international editor in new york. does obama's new america include gun control do you think? >> i think it does. what is interesting is in his first administration he presided over three mass shootings, and it is one issue he avoided. i think because the children were so young he was visibly moved. i think there has been a radical shift in policy, and what was basically a forgotten issue has moved to the forefront for the second term. i think it is a real change. >> not everyone will agree with your choice.

what criteria do you use when you make your pick? >> the basic person is the person or persons who have most influenced world events over the previous year and stand the best chance of doing so over the year ahead, so there were a lot of viable candidates. there was a pakistani girl who was shot by the taliban, hamas mursi.nd more se -- a lot of people think the u.s. president is a boring choice, but we evaluated it on the merits, and we think the 2012 election is more significant than the 2008 election, which is why we went with obama. >> you mentioned the egyptian president. that is a controversial decision, bearing in mind the turmoil in his country and the opposition he still faces. >> i guess is controversial.

if you go back to the definition, a person or persons who most influence world events, india is one of the prime instigators of the arab spring. his presidency is an outgrowth of that at 80 million people and a historical ally of the u.s., he is a bellwether of the region, and if i elected, we do not know how his tenure is going to pan out, but we think in almost every criteria that was a solid hit for someone who has been very influential in 2012 and likely to be so in 2013. >> that is interesting. there are a lot of unknowns. do all of your picks stand the test of time? do they live up to expectations when you are looking ahead? >> i think a couple years ago we liked to think so. you can go over the list, and i

know there are a lot that perhaps have not panned out. every once in while we catch a break, because two years ago we were talking about whether the person of the year should be marked unterberg -- mark zuckerberg. we went with him, and we are happy about that, because facebook is a force of the future that cannot be denied, and when the wikileaks movement, it certainly has not panned out to be any kind of a bellwether we thought. we are just editors, and we sometimes get it wrong, but hopefully they do stand the test of time. >> looking forward to this time next year. you are watching bbc world news america. still to come, or send in iraq, after nearly a decade -- orphaned in iraq, after nearly a

decade now of war, and new challenges. the man who hacked into the e- mailed of hollywood actors has been ordered to pay $70,000 in damages. he admitted to charges of wire tapping and unauthorized access to a computer. prosecutors say he had access to the e-mails of more than 50 celebrities, reading film scripts and other personal information. scarlett johansson and mila kunis were among those targeted. >> he said he was almost relieved when authorities came and took his computer away after the operation. he said he was a gifted to spying on celebrities, and in court after doing a deal with prosecutors, pleaded for a deal on nine charges, including

wiretapping. scarlett johansson was among those high-profile stars. new profiles she had taken of herself appeared on the internet. she agreed to go public not to highlight the intrusion. in a tearful video statement in court she said she felt truly humiliated and embarrassed by leaked naked pictures of her and called the behavior perverted and reprehensible. christina aguilera was among the victims. she said the feeling of security can never come back, adding there is no compensation for such a violation of privacy. mila kunis was also targeted. prosecutors say he illegally half the computers of 50 people in the entertainment industry. he was fined nearly $70,000.

>> it has been nearly a decade since the u.s.-led an invasion of iraq, and amid the violence, millions of children have been left orphaned, but there are fewer than 200 social workers and psychiatrists to care for them. there are growing fears of extremist groups may groom these vulnerable children and recruit them into their ranks. regeneration of iraqis is growing up in the shadow of conflict. this is a state run orphanage, and it is a neglected place. the 52 boys here are properly fed and clothed, but he said it was better resources during the time of saddam hussein.

when this boy was 11, both of his parents were killed. >> every day i sit and cry. maybe in the future we will be involved in crimes because there is nothing good for us. >> unrelenting violence has created a social as well as security crisis. dangerous implications for the country's future. a senior official says his administration was doing what it could but that near iraq's orphans are not a political priority. >> i want to change and reform the law so i can provide better services and care for the children of this country. >> the brothers are now being cared for in a private orphanage. they lost their mother in a shootout in the street. their father disappeared during the height of the sectarian war.

at least they have each other. this withdrawn 12-year-old has no one. his parents were killed in a bomb in 2005 that also injured him. i do not remember them, he told me. >> i was small. a man took me away and afterwards explained what happened to them. there is no life when you have lost your mother and father. >> there are fears if they are not given the right care the young victims could grow up to become perpetrators themselves. >> if they were not here, they would be in the streets begging. if they are not properly looked after, these orphans will be exploited, a threat to the security in the future. bikes with bombs and assassinations still happening in iraq every day, -- >> with

bombs and assassinations still hanging in iraq -- happening in iraq every day, the number increases. >> now to a holiday tradition many of us are quite familiar with. millions of people will record their celebrations on everything from cameras to smartphones, but over a century ago it was cutting edge to capture it. one of the first ever family recordings at christmas time has been discovered by curators at the national museum in london. >> this wax cylinder contains events that took place more than 100 years ago. when it was played by curators at the museum in london, this was what they heard. ♪ the recording who was in 1904 of

a 7-year-old singing to his family. it is recreated by his great- grandson. the recordings are of the war family who live in north london. cromwell in the middle was ahead of the family. here with his wife many and airline children -- and their nine children, they love to sing, especially at christmas. >> it was fantastic. it was like a window into the past and being in the same room. >> the family would gather around this gramophone to make their recordings. in all, they made 26 of them. the oldest one was this one from 1902, and is thought to be one of the oldest ever recordings of a family on christmas day. >> here we are, another christmas. >> it was only recently the descendants of the war family heard the recordings. some of them remember the grand

parties went on for years to come. >> that would be typical of my grandfather. >> have a jolly christmas in 1900 for. >> the recordings are a detail of recordings they have continued to this day. >> if that does not make you ready for christmas, i do not know what will, but before we go, we wanted to show you amazing pictures from russia. this is the volcano erupting on a peninsula. it suddenly burst to life, pouring who lava and sending clouds of ash into the air. experts say the eruptions were caused when a 5 kilometer crack appeared, and it is unclear

when the a robson might end. that brings the program to -- end.the eruption might that brings the program to a close. from all of us here, thank you for watching, and please tune in. >> make sense of international news at bbc.com/news. >> funding for this presentation is made possible by the freeman foundation of new york, stowe, vermont, and honolulu. newman's own foundation. and union bank.

>> at union bank, our relationship managers use their -- work hard to understand the industry you operate in, helping to provide capital for key strategic decisions. we offer expertise in a wide range of solutions. what can we do for you?

hi, neighbor! we're going to pick vegetables from our school garden. and then miss elaina's coming over for dinner. i'm excited to be with you, and i'll be right back. is made possible in part by... the richard king mellon foundation. dedicated for over sixty years to south western pennsylvania's quality of life, and competitive future. and by these pittsburg foundations. working together to enhance and enrich the lives of children for more than seventy-five years. and by the arthur vining davis foundations. dedicated to strengthening america's future

through education. adcasting, dedicated to strengthening america's future and contributions to your pbs station, from viewers like you. in the neighborhood ♪ and contributions to your pbs station, ♪ a beautiful day for a neighbor ♪ ♪ would you be mine? ♪ could you be mine? ♪ won't you be my neighbor? - ♪ it's daniel tiger's neighborhood ♪ ♪ a land of make-believe ♪ won't you ride along with me? ♪ - ♪ ride along - ♪ it's daniel tiger's neighborhood ♪ ♪ so much to do, so much to see ♪ ♪ won't you ride along with me? ♪ - ♪ ride along - ♪ i've got lots of friends for you to meet ♪ ♪ in this land of make-believe ♪ a friendly face on every street ♪ ♪ just waiting to greet you ♪ it's a beautiful day in the neighborhood ♪ ♪ a beautiful day for a neighbor ♪ ♪ in daniel tiger's neighborhood ♪

(laughing) - hi, neighbor! we are in the vegetable garden at school. - hello, neighbor. come on, daniel, let's go pick some veggies! - vegetables! have you ever picked vegetables? i haven't. so i'm excited. here i come! look at our garden! what vegetables do you like? i like tomatoes! i can't believe how much our garden grew! wow! - that's because we planted the vegetable seeds. - and we watered them. - and we had lots of sunny sunshine! - and now we get to pick the vegetables and taste them. - yippee! - yeah! (laughing) - tasting the vegetables? oh, no, i don't think i like vegetables.